Epic Regulatory Showdown
Hi guys, Happy new month of July to you, yours and theirs. June was a dramatic month in crypto, it started with the SEC breathing down the neck of Binance and then Coinbase followed. The SEC was throwing regulatory punches here and there, calling any crypto that wasn’t Bitcoin a security.
As a result, they said Binance and Coinbase were trading securities and as such have violated the law, but as these regulatory punches were been thrown, some were also been returned heavily, interestingly, Binance and Coinbase didn’t even have to move a muscle, the SEC undid themselves by themselves.
Sucker Punches and Uppercuts
One of the claims that Binance and Coinbase violated the law by trading securities by the SEC came right back to knock them in the face as they are the body responsible for providing regulatory clarity on what is and isn’t security but failed to, leaving everyone in the dark and jumping out of nowhere to claim people have violated the law.
As if that wasn’t enough for a sucker punch, the SEC sued Binance to court on basis of commingling of customer funds, money laundering and other illegal financial activities, they also asked the court to order Binance to shut down its operations.
But guess what, Binance followed all due processes and appeared in court but the SEC could present absolutely no evidence to back up the allegations. The judge dismissed the case and Binance continued its operations. What a comeback.
Tradfi swallows the orange pill
As if that was not enough for an uppercut, BlackRock, one of the biggest investment firms went ahead to file for Bitcoin ETFs which lit fire up TradFi’s buttock’s and got top investment institutions filing for Bitcoin ETFs putting the SEC on the spot. At least if they’ll reject it they must have a valid explanation for doing so else they risk public ridicule.
HSBC Honk Kong also swallowed the BTC pill and got the Chinese approval to offer BTC ETF’s to their customers, presently they are dominating the BTC ETF market while the SEC is yet to decide on BlackRocks ETF filing. We also explored why these ETFs mattered to Tradfi.
Conclusion
June was a good month overall, Bitcoin did not only gain dominance against alts but also against Gary Genslers bullying tactics. Microstrategy also acquired additional 12,333 BTC which may or may not be responsible for pushing the price of Bitcoin to around $30k after making a new monthly low at $25k at the beginning of June.
June was a lot about how Tradfi swallowed the Orange pill. Apart from TradFi’s ability to offer crypto investment to their users, some want BTC to replace parts of their cash reserves to cushion the effect of potential inflation of the dollar.
That’s it folks, it’s always good to take record of where we are coming from to be able to analyze and make informed decisions about where we are and where we are going. Let’s see what the SEC will decide in July.
Posted Using LeoFinance Alpha
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